Data centers, increasingly, are profit centers in a world where computing power is more and more prized. So it is little surprise that Canadian communications company Telus Communications (TSE:T), is putting more into staking a claim in this market. It is set to build a pair of new data centers, and that sent shares up fractionally in Wednesday morning’s trading.
Telus, to absolutely no one’s surprise, will be turning to Nvidia (NVDA) for chips to drive its two new data centers. These data centers will, reportedly, be put to work driving artificial intelligence infrastructure, which is likewise a growth market these days.
The first data center will be coming to Rimouski, Quebec, with a 10,000 square foot space for servers, packing as many as 500 Hopper graphics processing units (GPUs). That one is expected to launch this summer. Meanwhile, a second facility will be going in in Kamloops, British Columbia, though that one does not have a firm launch date in place. The Rimouski facility will be getting upgraded with Blackwell GPUs in 2026, but the Kamloops facility is reportedly being designed with “minimal retrofitting” in mind.
Gaming Good Health
But Telus did not stop at AI infrastructure. In fact, it recently brought out GameRx, a slate of interactive games designed to improve “…mental, emotional and physical well-being.” The GameRx platform is also geared toward breaking the “stigma” surrounding video gaming in general.
The GameRx platform covers a range of conditions, from mobility to loneliness, and can offer suggestions on games to play that may provide improvement in those areas. Reports suggest that the Canadian populace is likely to embrace GameRx, and may potentially turn video gaming from mere leisure into a light therapeutic.
Is Telus Stock a Good Buy?
Turning to Wall Street, analysts have a Moderate Buy consensus rating on TSE:T stock based on five Buys and six Holds assigned in the past three months, as indicated by the graphic below. After a 1.9% rally in its share price over the past year, the average Telus price target of C$22.49 per share implies 9.39% upside potential.
